• EUR/AUD initial gained on Thursday but gave up ground as investors digested the European Central Bank's December policy meeting minutes.
• The ECB’s December meeting revealed policymakers' confidence in inflation returning to the target, yet they acknowledged persistent risks, leading them to maintain a stable policy and high borrowing costs.
• At GMT 23:01, the pair was trading up 0.02 percent at 1.6539 after reaching daily high at 1.6670
• Technical signals are bullish as RSI at 70, daily momentum studies 21, 30 and 50 DMA’s are trending up.
• Immediate resistance is located at 1.6587(38.2%fib), any close above will push the pair towards 1.6645 (Higher BB).
• Immediate support is seen at 1.6528 (Daily low) and break below could take the pair towards 1.6493(38.2%fib).
Recommendation: Good to buy around 1.6500, with stop loss of 1.6380 and target price of 1.6580
